#THE PANJAB DISTRICT BOARDS ACT, 1883 
[^1] 
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##C O N T E N T S 
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###CHAPTER I 

###PRELIMINARY 

SECTIONS 

1. Short title. 
  Extent. 
  Commencement. 
2. Repeal of Act V of 1878. 
3. Definitions. 
4. Powers exercisable from time to time. 

###CHAPTER II. 

###OF THE LOCAL RATE ON LAND. 

5. The local rate. 
6. Road, school and post cesses to merge in the rate. 
7. Liability for local rate. 
8. Power to recover a share of the rate from occupancy-tenant. 
9. Appropriation of proceeds of local rate. 

###CHAPTER III. 

###OF DISTRICT AND LOCAL BOARDS. 

A.—*Constitution of District and Local Boards.*

10. Establishment of district and local boards. 
11. Number and appointment or election of members. 
12. Term of office of members. 
13. Resignation of members. 
14. Powers of the Local Government as to removal of mothers. 
15. Filling of casual vacancies. 
16. Incorporation of district boards. 
17. Time for district and local boards coming into existence. 
18. Chairman. 
19. Vice-chairman. 

B.—*Duties of District and Local Boards.*

20. Duties of district board. 

[^1]. Subject to verification by Administration Ministry. 



21. Duties of local board. 
22. Limits on expenditure of local board. 
23. Power for district board to provide for performance of duty in default of local board. 

*C.—Joint Committees.*

24. Joint committees. 

*D.—Conduct of Business.*

25. Record and publication of proceedings. 
26. Power to make rules as to business and affairs. 

*E.—Officers and Servants.*

27. Employment of officers and servants. 
28. Pensions of Government officials serving boards. 
29. Pensions of servants of boards. 

*F.—Taxation and Finance.*

30. Powers of taxation conferred on district boards. 
31. Procedure in imposing taxes. 
32. Reduction and abolition of tax. 
33. Levy of fees. 
34. Additional funds to be provided by the Government. 
35. District fund. 
36. Vesting, custody and investment of district fund. 
37. Application of district fund. 
38. Works or undertakings benefiting several districts. 
39. Annual estimates of income and expenditure of district boards. 
40. Accounts of district boards. 
41. Estimates and accounts of local boards. 
42. Inspection of estimates and accounts. 
43. Publication of abstract of accounts. 
44. Control of Commissioner and Deputy Commissioner over boards and joint committees. 

*G.—Control.*

45. Power to suspend action. 
46. Extraordinary powers of Deputy Commissioner in ease of emergency. 
47. Power to provide for performance of duties in case of default of board. 
48. Power to invest other officers with power of control. 
49. Report of action under preceding sections. 
50. Powers of Local Government and its officers over boards. 
51. Power  of  Local  Government  to  supersede  in  case  of  incompetency,  persistent  default  abuse  of 
  powers. 
52. Consequences of supersession. 
53. Constitution of new board, and transfer of functions of superseded local boards. 
54. Disputes. 
55. Power of the Governor General in Council and the Local Government to make rules. 

*H.—Regulations.*

56. Power to make regulations. 
57. Penalty for infringement of regulations. 
58. Prosecutions. 

*I.—Supplement and Exceptional Provisions.*

59. Liability of members of boards. 
60. Procedure for making rules and regulations. 
61. Acquisition of land. 
62. Penalty on member, officer or servant being interested in contracts made with a board or joint 
  committee. 
63. Saving for Act XI of 1879. 
64. General powers of Local Government and Commissioners. 
65. Contracts of local Committees. 
66. Government officers serving under committees to continue under board. 
67. Power of Local Government to except local area from operation of Act. 
68. Committee to be constituted for district wholly excepted from Act. 
69. Power to direct that Act XX of 1856 shall cease to be in force. 
_______ 

###CHAPTER IV 

###SUPPLEMENTAL PROVISIONS AS TO TAXATION 

70. Recovery of rates. 
71. Local rate or tax how to be assessed and collected. 
72. Appeals. 
73. Instalments of rates and taxes. 
74. Power of Local Government to exempt from taxation. 
75. Power to direct measurements. 
76. Suits relating to rates and taxes under this Act cognizable by Courts having cognizance of suits 
  for rent. 
77. Confirmation and recovery of existing rates. 

[CHAPTER V].—[AMENTDMENT OF THE NORTHEN INDIA FERRIES ACT, 1878]  [REPEALED.]. 

78. [Repealed.]. 
79. [Repealed.]. 



#THE PUNJAB DISTRICT BOARDS ACT, 1883 

##ACT NO. 20 OF 1883 

[12th October, 1883.] 

An Act to make better provision for local self-government in the Districts of the Panjab. 

  WHEREAS it is expedient to amend the law in force in the territories administered by the Lieutenant-
Governor of the Panjab for the levy and expenditure of rates on land; and 

  Whereas  it  is  also  expedient  to  provide  for  the  constitution  of  district  boards  and  local  boards  in  those 
territories, and to define and regulate the powers to be exercised by those boards; 

  It is hereby enacted as follows:— 

###CHAPTER I 

###PRELIMINARY 

1. **Short title.**—(1) This Act may be called the Panjab District Boards Act, 1883. 

  **Extent.**—(2) It  shall  extend  only  to  the  territories  for  the  time  being  administered  by 
the Lieutenant-Governor of the Panjab; and 

  **Commencement.**—(3) It shall come into force in each district on such date as the Local 
Government, by notification, directs. 

2. **Repeal of Act V of 1878.**—From the date on which this Act comes into force in any district, the 
Panjab  Local  Rates  Act,  1878  (V  of  1878),  shall  be  repealed  throughout  that  district.  But  all  rates 
imposed, sums credited to the Local Government, and notifications published under that Act, shall, so far 
as may be, be deemed to have been respectively spectively imposed, credited and published under this Act. 

3. **Definitions.**—In  this  Act,  unless  there  is  something  repugnant  in  the  subject  or 
context,— 

(1) “Land” means land assessed to the land-revenue, and includes land whereof the land-revenue has 
been wholly, or in part, released, compounded for, redeemed or assigned. 

(2) “Land-revenue”  includes  trini  or  grazing-dues  levied  for  grazing  on  Government  lands  under 
section 48 of the Panjab Laws Act, 1872 (IV of 1872). 

(3) “Landholder”  means  any  person  responsible  for  the  payment  of  the  land-revenue,  if  any, 
assessed on land. It also includes the proprietor of land the land-revenue of which has been wholly, or in 
part, released, compounded for, redeemed or assigned. 

(4) “Annual value” means— 

  (a) double the land-revenue for the time being assessed on any land, whether the assessment is 
leviable or not ; or 

  (b) where the land-revenue has been permanently assessed, or has been wholly or in part com-
pounded  for  or  redeemed,  double  the  amount  which,  but  for  such  permanent  assessment, 
composition or redemption, would have been leviable; or 

  (c) where no land-revenue has been assessed, double the amount which would have been 
assessed if the average village-rate had been applied: 

  Provided  that,  in  any  tract  in  which,  under  the  settlement  for  the  time  being  in  force,  the 
improvement of the land due to canal irrigation has been excluded from account in assessing the 
land-revenue,  and  a  rate  has  been  imposed  in  respect  of  such  improvement,  that  rate  shall  be 
added to the land-revenue for the purpose of computing the annual value. 

(5) “Financial year” means the year commencing on the first day of April. 

(6) “Prescribed day “means such day as the Local Government may, from time to time, prescribe. 

(6A)  “Punjab”  means  the  territories  which,  immediately  before  the  Ist  November,  1956,  were 
comprised in the State with the same name; 

(7) “Notification “means a notification published in the official Gazette. 

(8) “Notified” means notified in the official Gazette. 

(9) “Deputy  Commissioner”  means  the  Deputy  Commissioner  of  a  district,  and  includes  any 
officer  specially  appointed  by  the  Local  Government  to  perform  the  functions  of  a  Deputy 
Commissioner under this Act. 

4. **Power exercisable from time to time.**—All powers conferred by this Act may be exercised from 
time to time as occasion requires. 

###CHAPTER IL 

###OF THE LOCAL RATE ON LAND 

5. **The local rate.**—(1) All land shall be subject to the payment The local of a rate, to be called the 
local rate, not exceeding one rate annual for every rupee of its annual value. 

(2) The proportion which the local rate shall bear to the annual value of land shall, except as provided 
in sub-section (3), be fixed for each district by the Local Government by notification. 

(3) The Local Government may, by notification, delegate to the district  board, subject to such 
restrictions  or  conditions  as  it  thinks  fit,  its  powers  under  sub-section  (2),  and  may,  by 
notification, cancel or vary any such notification. 

6. **Road, school and post cesses to merge in the rate.**—From such date as may be notified in 
respect  of  each  district  by  the  Local  Government,  all  authorized  rates  and  cesses  for  the 
maintenance of roads, schools and the district-post shall merge in and become part of the local rate, 
and no rate or cess other than the local rate shall be thereafter leviable for those purposes. 

7. **Liability for local rate.**—The landholder shall be liable for the local rate subject to the following 
provisos, namely:— 

(1) where  the  landholder  pays  the  land-revenue  in  kind  to  any  assignee  of  revenue  or  any  village-
headman, the assignee of revenue or village-headman shall be liable for the payment of the local rate in-
stead of the landholder, and no demand shall be made by any such assignee or village-headman on the 
landholder in respect of the payment of the rate; and 

(2) where the Government has, under any lease current at the time when this Act comes into force, 
paid the Focal rate on trini, it shall continue to pay the rate during the currency of the lease. 

8. **Power to recover a share of the rate from occupancy tenant.**—When a local rate is payable 
by a landholder in respect of lands held by a tenant with a right of occupancy holding at a favourable 
rent, the landholder may realize from the tenant a share of the rate, bearing the same proportion to the 
whole rate as the excess of the annual value over the rent paid by the tenant bears to half the annual 
value. 

9. **Appropriation of proceeds of local rate.**—Four-fifths of the net proceeds of the local rate levied 
in  each  district,  after  deducting  the  expenses  of  collection,  shall,  except  as  provided  in  section  68,  be 
allotted to the district board established for that district under this Act. 

The remaining one-fifth shall be carried to the credit of the Local Government, and may— 

  (a) be allotted by that Government to any district board established under this Act ; or 

  (b) be applied by that Government to provide in the territories to which this Act extends, or any 
part thereof, for any of the matters on which district boards may expend the funds at their disposal 
under this Act : 

  Provided that the Local Government may direct that the whole or any portion of the net proceeds of 
the  local  rate  levied  within  the  limits  of  any  municipality  or  military  cantonment,.  after  deducting  the 
expenses collection, shall be carried to the credit of the municipal fund, or made available for the purpose of public 
improvement in the cantonment or for carrying out therein any rules made under section 25 of the Cantonments 
Act, 1880 (III of 11880),  as the case may be. 

###CHAPTER III 

###OF DISTRICT AND LOCAL BOARDS 

*A.—Constitution of District and Local Boards.*

10. **Establishment of district and local boards.**—(1) The Local Government shall, by 
notification establish a district board for each district. 

(2) The Local Government may, by notification, establish a local board or local boards within 
the limits of any district, and may cancel or vary any such notification. 

(3) A district board shall have authority throughout the district for which it is established, and a local 
board shall have authority throughout such portion of the district in which it is established, as the Local 
Government may, by notification, direct: 

  Provided that a board shall not have authority over any portion of a district which is for the time 
being included in a military cantonment or a municipality. 

11. **Number and appointment or election of members.**—(1) A district board or local board shall 
consist of such number of members, not less than six, as the Local Government may fix in this behalf. 

(2) The  members  may  be  appointed  by  the  Local  Government  either  by  name  or  by  official 
designation, or may be elected in accordance with rules made by the Local Government under this Act, or 
some may be appointed and some elected, as the Local Government directs: 

Provided that— 

  (a) when the Local Government has directed that all or any proportion of the members shall 
be elected,  it  shall  not  thereafter  direct  that  they  shall  be  appointed,  unless  a  majority of  the 
electors declare that they so desire, ; 

  (b) unless  salaried  officers  of  the  Government  are  elected,  not  less  than  two-thirds  of  the 
members of every board shall be persons other than salaried officers of the Government; and 

  (c) not less than one-half of the members of the board shall be landholders in the district. 

(3) When,  under a  direction  issued  under  sub-section  (2),  any  places  on  a  board  are required  to  be 
filled by election, and a sufficient number of members is not elected, the Local Government may fill those 
places by appointment. 

12. **Term of office of members.**—(1) A member of a district board or local board, when appointed 
by virtue of an office, shall, unless and until the Local Government otherwise directs, continue to b e 
a member of the board while he continues to hold that office. 

(2) The  term  of  office  of  all  other  elected  and  appointed  members  respectively  of  a  district 
board  or  local  board  shall  be  fixed  by  the  Local  Government  by  rules  made  under  this  Act,  and 
may be so fixed as to provide for the retirement of members by rotation, but shall not exceed three 
years. 

(3) An outgoing member shall, if otherwise qualified, be again eligible for election or appointment. 

13. **Resignation of members.**—A  member  of  a  local  board  or  of  a  district  board  may  resign  by 
notifying in writing his intention to do so to Commissioner; and, on the acceptance by Commissioner 
of such resignation, the member shall be deemed to have vacated his office. 

14. **Powers of the Local Government as to removal of members.**—The Local Government may 
remove any member of a district board or local board— 

  (a) if  he  refuses  to  act,  or  becomes  incapable  of  acting,  or  is  declared  insolvent,  or  is 
convicted  of  any  such  offence,  or  subjected  by  a  Criminal  Court  to  any  such  order,  as  im-
plies, in the opinion of the Local Government, a defect of character which unfits him to be a 
member ; 

  (b) if  he  has  been  declared  by  notification  to  be  disqualified  for  employment  in  the 
public service; 

  (c) if he, being a member of a local board, without an excuse sufficient in the opinion of 
the Local Government, neglects for more than three consecutive months to be present at the 
meetings  of  that  board,  or,  being  a  member  of  the  district  board,  without  such  sufficient 
excuse, neglects  for  more than six  consecutive  months to be  present  at the  meetings of that 
board; 

  (d) if  his  continuance  in  office  is,  in  the  opinion  of  the  Local  Government,  dangerous  to  the 
public peace or order ; or, 

  (e) when he is a salaried officer of the Government, if his continuance in office is; in the opinion 
of the Local Government, unnecessary or undesirable. 

15. **Filling of casual vacancies.**—(1)  When  the  place  of  an  elected  member  of  a  local  board  or 
district  board  becomes  vacant  by  the  resignation  or  removal  of  the  member  or  by  his  death,  a  new 
member shall be chosen in accordance with 'the rules made by the Local Government under this Act to 
fill the place : 

  Provided that the Local Government may direct  in any such case that the vacancy shall be left 
unfilled. 

(2) When the place of a member of a local board or district board appointed by name becomes 
vacant  as  aforesaid,  the  Local  Government  may,  if  it  thinks  fit,  appoint  a  new  member  to  fill  the 
place. 

(3) A person chosen or appointed under this section to fill a casual vacancy shall hold office until 
the  person  whose  place  he  fills  would  regularly  have  gone  out  of  office,  and  shall  then  go  out  of 
office, but shall be again eligible for election or appointment. 

16. **Incorporation of district boards.**—Every  district  board  shall  be  a  body  corporate  by  the 
name  of  the  district  board  of    its  district,  and  shall  have  perpetual  succession  and  a  common  seal, 
with power to acquire and hold property, both moveable and immoveable, and, subject to any rules 
made  by  the  Local  Government  under  this  Act,  to  transfer  any  such  property  held  by  it,  and  to 
contract and  do  all  other things  necessary  for  the  purposes  of  its  constitution,  and  may  sue  and  be 
sued in its corporate name. 

17. **Time for district and local boards coming into existence.**—The several district boards and 
local  boards  constituted  under  this  Act  shall  come  into  existence  at  such  time  as  the  Local 
Government may, by notification, fix in this behalf. 

18. **Chairman.**—(1)  A  member  of  every  district  board  or  local  board  shall  be  elected  or 
appointed to be chairman of the board, and shall hold office for such term, not exceeding three years, 
as the Local Government may, by a rule made under this Act, fix. 

(2) The  Local  Government  shall  determine,  as  regards  each  board  or  as  regards  any  class  of 
boards,  whether  the chairman  shall  be  a  person  appointed  by  virtue  of  his  office  or  by  name  or  be 
elected. 

19. **Vice-chairman.**—(1) A district board or local board may elect one of its members to be vice-
chairman. 

(2) A vice-chairman so elected shall hold office for such term as the board may, by rule, fix. 

*B.—Duties of District and Local Boards*

20. **Duties of district board.**—(1)  The  following  matters  shall,  subject  to  such  exceptions  and. 
conditions as the Local Government may make and impose, be under the control and. administration of 
each district board within the area subject to its authority :— 

  (a) the management of all property vested in the district board ; 

  (b) the  construction,  repair  and  maintenance  of  public  roads  and  other  means  of  communi-
cation; 

  (c) the  establishment,  management,  maintenance  and  visiting  of  public  hospitals, 
dispensaries, sarais and schools, and the construction and repair of all buildings connected with 
these institutions; 

  (d) the training of teachers and the establishment of scholarships ; 

  (e) the supply, storage and preservation from pollution of water for drinking, cooking and bathing 
purposes ; and. 

  (f) the planting and preservation of trees. 

(2) The Local Government may direct that any of the following . matters shall, subject to such 
exceptions and conditions as it may make and impose, be under the control and administration of 
a district board Within the area subject to its authority :— 

  (g) the management of any property vested in Her Majesty ; 

  (h) the establishment, maintenance, visiting and management of markets, rest-houses, encamping-
grounds and other public institutions, and the construction and repair or all buildings connected with 
these institutions ; 

  (i) the construction and repair of embankments, and the supply, storage and control of water for 
agricultural purposes ; 

  (j) the preservation and reclamation of soil, and the drainage and reclamation of swamps ; 

  (k) the  construction,  repair  and  maintenance  of  famine  preventive  works,  and  the  establish -
ment  and  maintenance  of such relief-works, relief-houses  and  other  measures  in  time of famine 
or scarcity as may be entrusted to the charge of the board by the Local Government ; 

  (l) the registration of births, marriages and deaths; 

  (m) fairs and agricultural shows and industrial exhibitions;

  (n) the establishment and management of pounds,  including, where the Cattle-trespass Act 
1871 (1 of 1871), is in force, such functions of the Local Government and the Magistrate of 
the district under that Act as may be transferred to the board by the Local Government ; 

  (o) the  management  of  such  public  ferries  as  may  be  entrusted  to  the  charge  of  the  board 
under section 7A of the Northern India Ferries Act, 1878, as amended by this Act 

  (p) any other local works or measures likely to promote the health, comfort, convenience and 
interests of the public or the agricultural or industrial prosperity of the country; and 

  (q) any  other  matters  which  the  Local  Govern -went  may  declare  to  be  fit  and  proper 
matters to be taken under the control and administration of the board. 

(3) The Local Government may cancel or modify any direction given by it under sub-section (2). 

(4) A district board shall, so far as the funds at its disposal permit, make due provision for all matters 
placed under its control or administration by or under this section. 

21. **Duties of local board.**—(1) The Local Government, or, subject to the control of the Local 
Government,  a  district  board,  may  direct  that,  within  the  area  subject  to  the  au thority  of  a  local 
board,  any  matter  placed  under  the  control and administration of the district board by or under 
section 20 shall be transferred to the control and administration of the local board. 

(2) A local board, as the agent of, and subject to the control of, the district board, shall, so far as the 
funds at its disposal permit, make due provision for all matters transferred to its control and administra-
tion under sub-section (1). 

(3) It shall be the duty of the district board to enforce the responsibility imposed on a local board by 
sub-section (2). 

22. **Limits on expenditure of local board.**—Except as otherwise provided by this Act, a local board 
shall not incur expenses or undertake liabilities expenditure to any amount exceeding the limit imposed 
by of local board the district board of its district. 

23. **Power for district board to provide for performance of duty in default of local board.**—(1) If 
a local board makes default in the performance of any duty imposed on it by or under this Act, the district 
board may, by order in writing, fix a period of board of its district. 

(2) If the duty is not performed within that  period, the district board may appoint some person 
to  perform  it,  and  may  provide  for  the expenses  of, and  incidental to,  its  performance  out  of the  funds 
appropriated to or for the purposes of the local board. 

*C.—Joint Committees.*

24. **Joint committees.**—A  district  board  may  concur  with  any  other  district  board,  or  with  any 
municipal committee or with any cantonment authority, or with more than one such board, committee or 
authority, in appointing, out of their respective bodies, a joint committee for any purpose in which they 
are jointly interested, and for delegating to any such joint committee any power which might be exercised 
by  either  or  nay  of  the  boards,  committees  or  authorities  concerned,  and  in  framing  or  modifying 
regulations as to the proceedings of any such joint committee, and as to the conduct of correspondence 
relating to the purpose for which the joint committee is appointed. 

*D.—Conduct of Business.*

25. **Record and publication of proceedings.**—(1) Minutes of the proceedings at each meet-
ing  of  a  district  or  local  board  shall  be  drawn  up  and  recorded  in  a  book  to  be  kept  for  the 
purpose, and shall be signed by the chairman of the meeting or of the next ensuing meeting, and 
shall be published in such  manner as the Local  Government  ma y, from time to time, direct, and 
shall,  at  all  reasonable  times  and  without  charge,  be  open  to  the  inspection  of  any  inhabitant  of 
the district who pays any rate or tax under this Act. 

(2) A copy of every resolution passed by a local board at a meeting sh all, within three days 
from the date of the meeting, be forwarded to the district board and to the Deputy Commissioner. 

(3) A copy of every resolution passed by a district board at a meeting shall, within three days from 
the date of the meeting, be forwarded to the Deputy Commissioner. 

26. **Power to make rules as to business and affairs.**—Every district board, and every local 
board with the sanction of the district board, may make rules as to— 

  (a) the time and place of its meetings and the manner in which notice of meetings shall be 
given ; 

  (b) the conduct of proceedings at meetings and the adjournment of meetings; 

  (c) the custody of the common seal and the purposes for which it shall be used ; 

  (d) the division of duties amongst its members ; 

  (e) the  powers  to  be  exercised  by  sub-committees  or  members  to  whom  particular  duties  have 
been assigned; 

  (f) the persons by whom receipts shall be granted for money received under this Act; 

  (g) the  duties,  appointment,  leave,  suspension    and  removal  of  the  officers  and  servants  of  the 
board; 

  (h) the term for which the vice-chairman shall hold office, and 

  (i) other similar matters : 

Provided that every rule made under this section must be consistent with this Act and with any rules 
made by the Local Government under this Act, and shall be published in such manner as the Local Gov-
ernment may direct. 

*E.—Officers and Servants.*

27. **Employment of officers and servants.**—(1) Subject to the provisions of this Act and to any 
rules which may be made under this Act in servants this behalf, every district board may employ and 
pay such officers and servants as may be necessary and proper for the efficient execution of its duties and 
of the duties of the local boards acting under it : 

Provided that if, at any time, in the opinion of the Deputy Commissioner,— 

  (a) the  number  of  persons  employed  by  a  board  under  this  section,  or  the  remuneration 
assigned by the board to those persons, or to any of them, is excessive, or 

  (b) any  such  person  is  unfit  for  his  employment,  the  board  shall,  on  the  requirement  of  the 
Deputy Commissioner, reduce the number, or remuneration, of those persons, or, as the -case may be, 
dismiss the unfit person. 

(2) The Commissioner of the division, whose decision shall be final. 

28. **Pensions  of  Government  officials  serving  boards.**—In the  case  of  a  Government  official,  a 
district board may— 

(1) if his services are wholly lent to it, contribute to his pension or gratuity and leave-allowances in 
accordance with the rules of the Civil Service Regulations for the time being in force ; and 

(2) if he devotes only a part of his time to the performance of duties in behalf of the board, contribute 
to  his  pension  or  gratuity  and  leave-allowances  in  such  proportion  as  may  be  determined  by  the 
Government. 

29. **Pensions of servants of boards.**—In the case of an officer or servant, not being a Government 
official referred to in section 28, a district board may— 

(1) grant  him  leave-allowances  and,  if  he  is  employed  under  the  district  committee  when  this  Act 
comes into force and not entitled to pension, or if his monthly pay is less than ten rupees, a gratuity ; and 

(2) if empowered in this behalf by the Local Government— 

  (a) subscribe  in  his  behalf  for  pension  or  gratuity  and  leave-allowances  under  the  rules  of  the 
Government Civil Pension and Leave Codes for the time being in force ; or 

  (b) purchase for him from the Government or otherwise an annuity on his retirement : 

Provided that no pension, gratuity, leave-allowance or annuity shall exceed the sum to which, under 
the Civil Service Regulations for the time being in force, the servant would be entitled if the service 
had been service under the Government. 

*F.—Taxation and Finance.*

30. **Powers  of  taxation  conferred  on  district  boards.**—Subject  to  any  general  rules  or  special 
orders which the Local Government may make in this behalf, a district board may impose, in manner 
prescribed by section 31, such taxes as may be approved by the Local Government: 

Provided that no such tax shall be imposed in respect of any property subject to the local rate. 

31. **Procedure in imposing taxes.**—(1) A district board may resolve, at a meeting, convened and 
constituted in such manner as the Local Government may prescribe, to propose the imposition of any 
tax under section 30. 

(2) When a resolution has been passed under subsection (1), the board shall publish a notice defining 
the  class  of  persons  or  description  of  property  proposed  to  be  taxed,  the  amount  or  rate  of  the  tax  to  be 
imposed and the system of assessment to be adopted. 

(3) Any person likely to be directly affected by the  proposed tax, and objecting to the same,  may, 
within thirty days from the publication of the notice, send his objection in writing to the board ; and the 
board shall, at a meeting convened and constituted as aforesaid, take his objection into consideration. 

(4) If no objection is sent within the said period of thirty days, or if the objections received, having 
been  considered  as  aforesaid,  are  deemed  insufficient,  the  board  may  submit  its  proposals to  the  Local 
Government, with the objections (if any) which have been sent in and with its decision thereon. 

(5) The Local Government, on receiving proposals under sub-section (4), may sanction the same, or 
refuse to sanction them, or return them to the board for further consideration. 

(6) When  the  proposals  of  a  district  board  in  respect  of  a  tax  have  been  sanctioned  by  the  Local 
Government, the board may, at a meeting convened and constituted as aforesaid, direct the imposition of 
the tax in accordance with those proposals: 

  Provided that, in  giving  such direction, the board shall fix a date not less than one month from the 
date of the meeting on which the tax shall come into force. 

(7) Every  direction  under  sub-section  (6)  shall  be  notified,  and  the  notification  shall  be  conclusive 
evidence that the tax has been imposed in accordance with law. 

32. **Reduction and abolition of tax.**—The Local Government may, by notification, and the district 
board may, with the sanction of the Local Government, by a resolution passed at a meeting convened and 
constituted as the Local Government may prescribe, abolish or reduce any tax imposed under sections 30 
and 31 

33. **Levy of fees.**—With  the  previous  sanction  of  the  Local  Government,  or  of  such  officer  as  the 
Local Government may authorize in this behalf, a district board or local board may fix and levy school-
fees and fees for the use of, or benefits derived from, any of the works specified in section 20, clauses (c), 
(e),  (h),  (i)  and  KB,  and  fees  at  fairs,  agricultural  shows  and.  industrial  exhibitions  held  under  its 
authority. 

34. **Additional funds to be provided by the Government.**—When the control and administration of 
any matter is by or under this Act transferred to a district board, and at the time of the transfer the cost of 
that  control  and  administration  is  defrayed  from  provincial  revenue,  the  Local  Government  shall,  from 
time to time, allot to the district board such funds, .or place at the disposal  of the board such sources of 
income, as may, in the opinion of the Local Government and of the board, be sufficient for maintaining 
the control and administration of the said matter in the state of efficiency existing at the date of transfer. 

35. **District fund.**—There Shall be formed for each district a fund, to be called the district fund, and-
there shall lie placed to the credit thereof— 

  (a) the balance (if any) of the allotments made for the district under section 7 of the Panjab Local 
Bates  Act,  1878  (V  of  1887),  and  of  the  road  and  school  ceases,  which  may  be  available  for 
expenditure in the district on the day on which the district board comes into existence; 

  (b) all proceeds of rates allotted to the district board under section 9; 

  (c) the proceeds of all taxes imposed in the district under sections 30 and 31; 

  (d) the  amount  of  all  fees  levied  by  the  district  board  or  by  local  boards  in  the  district  under 
section 33; 

  (e) all funds allotted to the district board and the income arising from 'all sources of income placed 
at its disposal under section 34; 

  (f) all rents and profits accruing from property vested in the district board or managed by the 
district board or a local board in the district; 

  (g) all sums contributed to the fund by Government or by any committee, board or private person; 

  (h) all sums received by the district board or by a local board in the district in the discharge ,of 
functions exercised by it under this Act; and 

  (i) the proceeds of all sources of income which the Local Government may order to be placed at, 
the disposal of the district board : 

  Provided that the Meal Government may revoke any order made .under clause (i). 

36. **Vesting custody and investment of district fund.**—(1) The district  fund  shall  be  vested  in  the 
district board, and the balance standing at the credit of the fund shall be kept in the Government treasury or 
sub-treasury or in the bank to which the Government treasury business has been made over, unless the Local 
Government in any cases otherwise permits. 

(2) Subject to such rules as the Local Government, subject to the control of the Governor General 
in  Council  may  make  in  this  behalf,  the  district  board  may,  with  the  previous  sanction  of  the  Local 
Government, invest any portion of the district fund in securities of the Government of India or such other 
securities  as  the Local  Government,  subject  to  the  control  of  the Governor  General  in  Council  may 
approve in this behalf, and vary such investments for others of the same nature, or dispose of them. The 
income  resulting  from  the  securities,  and  the  proceeds  of  the  sale  of  the  same,  shall  be  credited  to  the 
district fund. 

37. **Application of district fund.**—(1)  The  district  fund  shall  be  charged  with  the  payment  of  the 
expenses of the district-post, the payment of the expenses of pauper lunatics sent to public asylums from 
the  area  under  the  authority  of  the  district  board,  the  expenses  incurred  in  auditing  the  accounts  of  the 
district boards and local boards, and such portion of the cost of the Provincial Departments for education, 
sanitation, vaccination, medical relief and public works as may be held by the Local Government to be 
equitably debitable to the district board in return for services rendered to the board by those Departments. 

(2) Subject to the charges specified in sub-section (1), and to such rules as the Local Government may 
make with respect to the priority to be given to the several duties of the board or otherwise, the district 
fund shall be applicable to the payment, in whole or in part, of the charges and expenses incidental to the 
matters specified in sections 20, 27, 28 and 29, and to the provision of grants-in-aid to educational and 
medical institutions, within the area subject to the authority of the district board, and, with the sanction of 
the Commissioner, outside that area when such application of the fund is for the benefit of the inhabitants 
of that area. 

38. **Works or undertakings benefiting several districts.**—In the  case  of  works  or  undertakings 
which  undertakings  benefit  more  districts  than  one,  when  the  district  boards  cannot  agree,  the 
Commissioner  or  Commissioners  of  the  division  or  divisions,  or,  when  the  districts  are  in  different 
divisions and the Commissioners cannot agree, the Local Government, may determine what proportion of 
the  expenses  of  the  work  or  undertaking  shall  be  borne  by  each  of  the  district  funds  of  the  districts 
benefited thereby ; and such proportion shall be payable out of the several district funds accordingly. 

39. **Annual estimates of income and expenditure of district boards.**—(1) Every district board shall 
appoint a finance committee consisting of not less than three of its members. 

(2) Every district board shall, on or before a boards prescribed day in each year, hold a meeting at 
which the finance committee shall submit to the board an estimate of the income and expenditure of the 
board for the next financial year, in such form as the Local Government may, by a rule made under this 
Act, prescribe. 

(3) The  board  shall  consider  the  estimate,  and  may  provisionally  approve  of  it  .with  or  without 
modification. 

(4) The  board  shall,  on  or  before  a  prescribed  day,  cause  copies  of  the  estimate,  as  provisionally 
approved by it, to be sent to the Deputy Commissioner. 

(5) The Deputy Commissioner shall, on or before a, prescribed day, signify in writing to the board his 
approval or disapproval of the estimate. When he disapproves of the estimate, he shall state the nature of 
his objection. The board shall then consider the matter, and either modify the estimate, so as to remove 
the  objection,  or refer  it through  the  Deputy  Commissioner to the  Commissioner  of  the  division.  If  the 
Commissioner concurs in the objection, he shall make such modification in the estimate as may, in his 
judgment, be necessary to remove the objection in whole or in part. If he does not concur in the objection, 
he shall pass the estimate, and his order shall be final and binding on the board. 

(6) When  the  Deputy  Commissioner  has  signified  his  approval  of  an  estimate,  or  the  board  has 
modified an estimate so as to remove the Deputy Commissioner's objections, or when the Commissioner 
has passed orders as provided in sub-section (5), no expenditure which is not provided for in the estimate 
as  approved  or  modified  shall  be  incurred  during  the  year  to  which  the  estimate  relates  without  the 
previous sanction of the Deputy Commissioner. 

(7) When  the  Deputy  Commissioner  is  a  member  of  the  district  board,  the  Commissioner  and  the 
Local Government shall take the place of the Deputy Commissioner and the Commissioner respectively 
for the purposes of this section. 

40. **Accounts of district boards.**—Accounts of the receipts and expenditure of every district board 
shall  be  made  up  periodically  to  such  days  and  in  such  form  as  the  Local  Government  prescribes,  and 
shall be examined and. audited as soon as may be after they are so made up by such persons as the Local 
Government appoints in this behalf. 

41. **Estimates and accounts of local boards.**—(1)  Every  local  board  shall  submit  annually  to  the 
district  board  of  its  district,  on  or  before  such  date  as  the  district  board  may  appoint  in  this  behalf,  a 
statement  of  the  requirements,  and  an  estimate  of  the  probable  expenditure,  of  the  local  board  for  the 
coming financial year, and shall submit, as often as the district board may require, accounts of its receipts 
and expenditure. 

(2) The  district  board  shall  signify  in.  writing  to  the  local  board  its  approval  or  disapproval  of  an 
estimate submitted under this section, and powers similar to those conferred on the Deputy Commissioner 
and Commissioner by section 39, clauses, (5) and (6), shall be exercised, in regard to the estimate, by the 
district  board  and  the  Deputy  Commissioner,  or  (when  the  Deputy  Commissioner  is  a  member  of  the 
district board) the Commissioner, respectively 

Provided  that,  during  the  currency  of  any  financial  year,  the  Deputy  Commissioner  may  sanction 
transfers of provision within the estimate finally' approved, when inconvenience or undue delay would be 
caused by a previous reference to the district board. 

(3) The district board shall make arrangements, subject to the approval of the Deputy Commissioner, 
for  the  examination  and.  audit  of  accounts  submitted  to  it  under  this  section,  and  may  arrange  for  the 
publication of such accounts. 

42. **Inspection of estimates and accounts.**—Every district board shall cause a copy of every annual 
estimate provisionally or finally approved under section 39, and of every account made up under section 
40,  to  be  kept  at  its  office;  and  any  person  paying  rates  or  taxes  under  this  Act  may,  at  all  reasonable 
times, inspect any such estimate or account without payment of any fee. 

43. **Publication of abstract of accounts.**—A statement of the accounts of a district board for each 
financial  year,  showing  the  income  of  the  district  fund  under  each  head.  of  receipt,  the  charges  for 
establishment,  the  works  undertaken,  the  sums  expended  on  each  work,  and  the  balance,  if  any,  of  the 
fund remaining unspent at the end of the year, shall be prepared by the board in such form as the Local 
Government  prescribes;  and  an  abstract  of  the  same  shall  be  published  in  the  English  and  Vernacular 
official Gazettes, or in such other manner as the Local Government may direct. 

*G.—Control.*

44. **Control of Commissioner and Deputy Commissioner over boards  and joint comittees.**—(1) 
The Commissioner of the division, or the Deputy Commissioner of the district when he is not a member 
of the district board, may— 

  (a) enter on and inspect, or cause to be entered on and inspected, any immoveable property within 
the limits of the division or district respectively occupied by any local board, district board or joint 
committee,  or  any  work  in  progress  within  those  limits  under  the  direction  of  any  such  board  or 
committee; 

  (b) by order in writing call for and inspect any document in the possession or under the control of 
any such board or committee having authority within those limits; 

  (c) by order in writing require any such board or committee to furnish such statements, accounts, 
reports and copies of documents relating to the proceedings or duties of the board or committee, as he 
may think fit to call for; and 

  (d) record in writing, for the consideration of any such board or committee, any observations he 
may think proper in regard to the proceedings or duties of the board or committee. 

(2) If  any  difference  of  opinion  arises  between  officers  exercising  the  powers  conferred  by 
sub-section (1), it shall be referred— 

  (a) if  it  arises  between  two  or  more  Deputy  Commissioners  in  the  same  division—to  the 
Commissioner ; and 

  (b) if it arises between two or more Deputy Commissioners in different divisions or between two 
or more Commissioners—to the Local Government; 

and the decision thereon of the Commissioner or of the Local Government, as the case may be, shall be 
final. 

45. **Power to suspend action.**—The Commissioner of the division or the Deputy Commissioner of 
the district may, by order in writing, suspend, within the division or district respectively, the execution of 
any resolution or order of a district board or local board or joint committee, or prohibit the doing of any 
act within the said limits which is about to be done, or is being done, in pursuance of or under cover of 
this Act, if, in his opinion, the resolution, order or act is in. excess of the powers conferred by law, or the 
execution of the resolution or order, or the doing of the act, is likely to lead to a breach of the peace, or to 
cause injury or annoyance to the public or to any class or body or persons. 

46. **Extraordinary powers of Deputy Commissioner in case of emergency.**—(1)  In  cases  of 
emergency,  the  Deputy  Commissioner  may  provide for the  execution  of any  work,  or  the  doing  of any 
act, which a district board or local board is empowered to execute or do, and the immediate execution or 
doing of which is, in his opinion, necessary for the service or safety of the public, and may direct that the 
expense of executing the work or of doing the act shall be forthwith paid by the district board. 

(2) if the expense is not so paid, the Deputy Commissioner may make an order directing the• person 
having the custody of the balance of the district fund to pay the expense, or so much thereof as is, from 
time to time, possible, from that balance in priority to all other charges against the same. 

47. **Power  to  provide  for  performance  of  duties  in  case  of  default  of  board.**—(1)  When  the 
Commissioner, after due enquiry, is satisfied that a district board has made default in performing any duty 
imposed upon it by or under this Act, he may, by an order in writing, fix a period for the performance of 
that duty, and, if it is not performed within the period so fixed, he may appoint some person to perform it, 
and  may  direct  that the expense  of  performing  it  shall  be paid,  within such time  as  he  may  fix,  by  the 
board to that person. 

(2) If the expense is not so paid, the Commissioner may make an order directing the person having 
the custody of the balance of the district fund to pay the expense, or so much thereof as is, from time to 
time, possible, from that balance in priority to all other charges against the same. 

48. **Power to invest other officers with.**—When the control and administration of any public work is 
by or under this Act transferred to a district board, and at the time of the transfer the cost of that control 
and  administration  is  defrayed  from  provincial  revenue,  the  Local  Government  may  invest  any  officer 
with respect to that work with the powers of a Commissioner under section 44 or section 47, or with the 
powers of a Deputy Commissioner under section 46. 

49. **Report of action under preceding sections.**—When the Commissioner makes any order under 
section  45  or  section  47,  he  shall  forthwith  forward  to  the  Local  Government,  and  when  the  Deputy 
Commissioner makes any order under section 45 or section 46, or an officer empowered under section 48 
makes  any  order  under  section  46  or  section  47,  he  shall  forthwith  forward  to  the  Commissioner,  for 
submission to the Local Government, a copy of the order, with a statement of the reasons for making it, 
and  with  such  explanation,  if  any,  as  the  board  or  committee  concerned  may  wish  to  offer.  The  Local 
Government may thereupon confirm, modify or rescind the order. 

50. **Powers of Local Government and its officers over boards.**—(1) It shall be  the  duty  of  the 
Local  Government  and  of  all  Commissioners  and  Deputy  Commissioners  acting  under  its  orders  to 
require that the proceedings of district boards and local boards shall be in conformity with law and with 
the rules in force thereunder. 

(2) The Local Government may exercise all powers necessary for the purpose of sub-section (1), and 
may,  amongst  other  things,  by  order  in  writing,  annul  any  proceeding  which  it  considers  not  to  be  in 
conformity with law and with the said rules. 

(3) The Commissioner of the division and the Deputy Commissioner of the district may, within their 
jurisdiction, for the same purpose, exercise such .powers as may be conferred upon them by rules made in 
this behalf by the Local Government. 

51. **Power  of  Local  Government  to  supersede,  in  case  of  incompetency,  persistent  default  or 
abuse of powers.**—If a district board or local board is not competent to perform, or persistently makes 
default in the performance of, the duties imposed on it by or under this or any other Act, or exceeds or 
abuses its powers, the Local Government may, in Council, by notification, in which the reasons for 
so doing shall be stated, declare the board to be superseded: 

  Provided  that,  in  case  of  public  emergency,  the  notification  may  be  issued  without  the  previous 
approval of the Governor General in Council, but shall be immediately reported to the Governor General 
in Council and shall be subject to his orders. 

52. **Consequences of supersession.**—When  a  district  board  or  local  board  is  superseded  under 
section 51, the following consequences shall ensue:— 

  (a) All members of the board shall from the date of the notification vacate their offices as such 
members: 

  (b) All powers and duties of the board may, until the board is re-constituted, be exercised and. 
performed by such person as the Local Government appoints in that behalf: 

  (c) Where a district board is superseded, all property vested in it shall, until it is re-constituted, 
vest in Tier Majesty. 

53. **Constitution of new board, and transfer of functions of superseded local boards.**—(1) When 
a  district  board  is  superseded,  Constitution  the  Local  Government  shall,  as  soon  as  in  its  judgment 
conveniently may be, constitute another district board in its place. 

(2) When  a  local  board  is  superseded,  the  Local  Government  may  either  constitute  another  local 
board in its place, or transfer its functions to the district board or, by a notification under section 10, to 
any other local board. 

54. **Disputes.**—If any dispute, for the decision of which this Act does not otherwise provide, arises 
between two or more boards constituted under this Act, or between a municipal committee or cantonment 
authority and any such board, the matter shall  be referred— 

  (a) to the Deputy Commissioner, if the local authorities concerned are in the same dis-
trict; 

  (b) to  the  Commissioner  or  Commissioners  of  the  division  or  divisions,  if  the  local  authorities 
concerned are in different districts ; and 

  (c) to the Local Government, if the local authorities concerned are in different divisions and the 
Commissioners of those divisions cannot agree. 

(2) The decision of the authority to which any dispute is referred under this section shall be final. 

(3) If, in the case mentioned in clause (a), the Deputy Commissioner is a member of one of the boards 
or committees concerned, his functions under this section shall be discharged by the Commissioner. 

(4) “Local  authority”  in  this  section  means  a  district  board,  local  board,  municipal  committee  or 
cantonment authority. 

55. **Power of the Governor General in Council and the local Government to make rules.**—So far 
as may be consistent with the provisions of this Act— 

(1) the Governor General in Council may— 

  (a) make general rules or special orders for the regulation of taxation under section 30; and 

  (b) regulation the powers of district boards to make vary and dispose of investments;

(2) the Local Government may, for any district or local board, or any class of such boards, make 
rules for Rules made under clause (2)(b) shall be subject to the control of the Governor General in 
Council— 

  (c) dividing boards into classes, and fixing the powers of boards of each class ; 

  (d) determining the mode and time of appointment or election of members of boards, the term 
of office, allowances (if any), and the qualifications and disqualifications of such members, and 
the qualifications and disqualifications of voters, and generally for regulating all elections under 
this Act; 

  (e) regulating the. powers of boards to transfer property; 

  (f) regulating the powers of boards to contract and do other things necessary for the purposes 
of their constitution and the mode of executing contracts; 

  (g) determining  the  intermediate  offices,  if  any,  through  which  correspondence  between 
boards or members of boards and the Local Government or its officers shall pass; 

  (h) determining the language in which business shall be transacted; 

  (i) the  employment,  payment,  suspension  and  removal  of  officers  and  servants  under 
section 27; 

  (j) the apportionment of the district fund between the general purposes of the district and. the 
purposes of particular parts of the district; 

  (k) the application of district funds; 

  (l) the form of estimates of income and expenditure under section 39; 

  (m) the form of accounts and. the manner of periodical audit under section 40; 

  (n) the publication of abstracts of accounts under section 43; 

  (o) the  preparation  of  plans  and  estimates  for  works  which  are  to  be  partly  or  wholly  con-
structed at the expense of boards, and as to the authority by which, and the conditions Subject to 
which, such plans and estimates may be sanctioned; 

  (p) the powers of supervision to be exercised by Commissioners and Deputy Commissioners 
under section 50 ; 

  (q) the conduct of proceedings of boards, including the fixing of a quorum, the appointment 
or election of a chairman, and the term of office of a chairman and vice-chairman; 

  (r) the appointment and payment of auditors of the accounts of boards; and 

  (s) the guidance of district boards when suits or other proceedings are intended to be or have 
been instituted by or against them in Civil Courts; and 

  (t) generally determining the relations between district boards and local boards, and guiding 
boards and Government officers in all matters connected with the carrying out of the provisions 
of this Act. 

All such rules and alterations of rules shall be notified, and no rules or alteration of rules under clause (2) 
(d) shall come into operation until three months-after-they have been notified Rules made under clause 
(2)(b) shall be subject to the control of the Governor General in Council. 

*H.—Regulations.*

56. **Power to make regulations.**—(1) Every district board or local board empowered in. this behalf 
by the Local Government may make regulations for carrying out all or any of the purposes of this Act. 

(2) A regulation made under this section shall not have effect until it has been confirmed by the Local 
Government and published in such manner and for such time as the Local Government may direct. 

57. **Penalty for infringement of regulations.**—(1)  In,  making-any  regulation  under  section  56,  a 
board may direct that a breach of the same shall be punished with fine which may extend to fifty rupees, 
and, in the case of a continuing breach, with a further fine which may extend to five rupees for every day 
during which the breach is continued after the offender has been convicted of such breach. 

(2) In default of payment of any fine imposed under this section, the defaulter shall be liable to simple 
imprisonment for a term which may extend to eight days: 

58. **Prosecutions.**—(1) Prosecutions under this Act for breach of regulations may be instituted by any 
board, or by any person authorized by the board in this behalf. 

(2) A Judge or Magistrate shall not be deemed to be within the meaning of section 555 of the Code of 
Criminal Procedure a party to, or personally interested in, any case under this section merely because he 
is a member of the board. 

*I.—Supplemental and Exceptional Provisions.*

59. **Liability of members of boards.**—Every person shall be liable for the loss, waste Liability of or 
misapplication of any money or other property  members of belonging to the district board, if such loss, 
waste or misapplication is a direct consequence of his neglect or misconduct while a member of a local 
board or of the district board, and a suit for compensation for the same may be instituted against him in 
such Court as the Local Government directs, by the district board with the sanction of the Commissioner, 
or by the Secretary of State for India in Council. 

60. **Procedure for making rules and regulation.**—(1)  The  Local  Government,  before  making 
Procedure  any  rules  under  section  55  or  section  67,  and  a  district  or  local  hoard,  before  making  any 
regulations  rules  and  regulations,  under  section  56,  shall  publish,  in  such  manner  as  the  Local 
Government  may  deem  sufficient  for  giving  information  to  persons  interested,  a  draft  of  the  proposed 
rules or regulations, together with a notice specifying a date on or after which the draft will be taken into 
consideration;  and  shall,  before  making  the  rules  or  regulations,  receive  and  consider  any  objection  or 
suggestion which may be made by any person with respect to the draft before the date so specified. 

(2) Every  such  rule  or  regulation  shall  be  published  in  the  official  Gazette  in  English  and  in  such 
other language as the Local Government directs, and such publication shall be conclusive evidence that 
the rule or regulation has been made as required by this section. 

61. **Acquisition of land.**—Where  any  land  is  required  for  the  purposes  of  this  Act,  the  Local 
Government may, at the request of a district board, proceed to acquire it under the provisions of the Land 
Acquisition Act, 1870 (10 of 1870); and, on the payment by the board of the compensation awarded under 
that  Act,  and  of  the  charges  incurred  by  the  Government  in  connection  with  the  proceedings,  the  land 
shall vest in the board. 

62. **Penalty on member, officer or servant being interested in contracts made with a board or 
joint committee.**—(1) If any  member, officer or servant of a district or local board or joint committee 
appointed under this Act is, otherwise than with the permission in writing of the Commissioner, directly 
or indirectly  interested  in any  contract  made  with that board  or joint  committee,  he  shall  be  deemed  to 
have committed an offence under the Indian Penal Code, section 168. 

(2) A  person  shall  not,  by  reason  of  being  a  shareholder  in,  or  a  member  of,  any  incorporated  or 
registered  company,  be  held  to  be  interested,  in  any  contract  entered  into  between  the  company  and  a 
board or committee; but he shall not take part in any proceedings of the board or committee relating to 
any such contract. 

63. **Saving for Act 11 of 1879.**—Nothing  in  this  Act  shall  affect  the  Local  Authorities  Loans 
Act, 1879 (11 of 1879). 

64. **General powers of Local Government and Commissioners.**—In all matters connected with this 
Act, the Local Government shall have and exercise over Commissioners and Deputy Commissioners, and 
Commissioners shall have and exercise over Deputy Commissioners,, the same authority and control as 
they respectively have and. exercise over them in the general and revenue administration. 

65. **Contract of local committees.**—Every contract entered into, whether in its own name or in the 
name of the Government, by the, committee appointed in a district under section 11 of the Panjab. Local 
Rates Act, 1878, may be enforced by and against the district board constituted for that district under this 
Act, in like manner as it might have been by and against the committee if this Act had not been passed. 

66. **Government  officers  serving  under  committees  to  continue  under  board.**—A  Government 
officer employed under the committee appointed in a district as aforesaid at the time when a district board 
comes into existence for the district under section 17 of this Act shall be deemed to be similarly employed 
by  the  board,  and  shall  not  be  dismissed  from  that  employment  without  the  sanction  of  the  Local 
Government. 

67. **Power  of  Local  Government  to  except  local  area  from  operation  of  Act.**—(1)  If  the 
circumstances of any district or part of a district are, in the opinion of the Local Government, such that all 
or any of the provisions of this chapter are unsuited thereto, the Local Government may, by notification in 
the official Gazette, except the district or part from the operation of those provisions; and thereupon those 
provisions shall not apply to the excepted district or part until again applied thereto by a like notification. 

(2) While  any  notification under  this  section  is  in  force,  the  Local  Government  may  make  rules  to 
provide for any matter dealt with by the provisions to which the notification applies. 

68. **Committee to be constituted for district wholly excepted from Act.**—When  a  district  is 
excepted, under section 67, from all the provisions of this chapter, a committee shall, except where the 
Local Government for special reasons otherwise directs, be constituted for the control and administration 
in that district of the matters mentioned in section 20, or of such of them as the Local Government may, 
from time to time, specify; and the Local Government shall, from time to time, determine the manner in 
which the members of the committee shall be appointed and removed, define the functions and authority 
of the committee, and place at its disposal, subject to such control as the Local Government thinks fit,— 

  (a) the balance standing at the credit of the district fund at the time when the district is excepted 
or,  as  the  case  may  be,  the  balance  of  the  allotments  made  for  the  district  under  section  7  of  the 
Panjab Local Rates Act, 1878 (5 of 1878), and of the road and school cesses, which may be available 
for expenditure in the district at that time; 

  (b) all proceeds of rates which, but for the district being excepted, would be allotted to the district 
board under section 9 of this Act; and 

  (c) such other sources of income  mentioned in section 35 of this Act as the Local Government 
thinks fit: 

  Provided that not less than one-half of the members of the committee shall be persons who own 
landed  property  or  reside  or  carry  on  trade  or  business  in  the  district  and  are  not  servants  of  the 
Government. 

69. **Power  to  direct  that  Act  20  of  1856  shall  cease  to  be  in  force.**—(1) When any local area in 
which Act 20 of 1856 (An Act to make better provision for the appointment and maintenance of Police 
Chaukidars in Cities, Towns, Stations, Suburbs and Bazars in the Presidency of Fort William in Bengal) 
is  in  force  is  included  in  any  local  area  over  which  a  district  board  established  under  this  Act  has 
authority, the Local Government may, by notification, direct that that Act shall cease to be in force in the 
local area BO included, and that every panchayat constituted under that Act for that local area shall cease 
to exist. 

(2) When a direction is issued under this section in respect of any local area in. which the said Act 20 
of  1856  is  in  force,  the  amount,  if  any,  then  available  under  section  36  of  that  Act  for  purposes  of 
improvement in that local area shall be expended therein by the Deputy Commissioner for such purposes. 

###CHAPTER IV 

###SUPPLEMENTAL PROVISIONS AS TO TAXATION 

70. **Recovery of rates.**—All rates and taxes imposed under this Act, and all arrears of such rates and 
taxes, may be recovered as if they were arrears of land-revenue. 

71. **Local  rate  or  tax  how  to  be  assessed  and  collected.**—(1) The  Local  Government  may,  by 
notification,  determine  the  persons  by  whom  the  local  rate  or  any  tax  imposed  under  this  Act  shall  be 
assessed and collected, and make rules for the assessment and collection of the rate or tax, and direct in 
what manner persons employed in the assessment or collection shall be remunerated. 

(2) The provisions of section 60 shall apply to all rules made under this section. 

72. **Appeals.**—(1) In matters connected with the assessment and collection of any rate or tax leviable 
under  this  Act,  an  appeal  shall  lie  from  the  order  of  any  person  authorized  under  this  Act  to  make 
assessments or collections to such person as the Local Government appoints: 

Provided that the appeal shall be presented within 30 days from the date of the order. 

(2) The order passed on an appeal under this section shall be final. 

73. **Instalments of rates and taxes.**—(1) The Local Government may, by notification, prescribe by 
what instalments and at what times any rate or tax leviable under this Act shall be, payable: 

  Provided  that  every  instalment  of  the  local  rate  leviable  under  section  5  shall  be  payable  with  an 
instalment of the land-revenue. 

(2) In  any  local  area  subject  to  the  authority  of  a  district  board  the  Local  Government  may,  by 
notification,  delegate  to  the  board,  subject  to  such  conditions  as  ifs  thinks  fit,  its  powers  under  this 
section. 

74. **Power  of  Local  Government  to  exempt  from  taxation.**—The Local  Government  may,  by 
notification,  remit  or  reduce  any  rate  or  tax  imposed  under  this  Act,  or  exempt  any  person  or  class  of 
persons, or any description of property, wholly or in any part, from liability to any such rate or tax, and 
cancel any such remission, reduction or exemption. 

75. **Power to direct measurements.**—When measurements are necessary for the assessment of the 
local rate or of any tax imposed under this Act, the Local Government may, by notification, direct such 
measurements to be made. 

76. **Suits relating to rates and taxes under this Act cognizable by Courts having cognizance of 
suits for rent.**—Suits for the recovery from co-sharers, tenants or others of any sum on account of any 
rate or tax imposed under this Act, and suits on account of illegal exaction of any such rate or tax, or for 
settlement  of  accounts  connected  therewith,  shall,  unless  the  Local  Government  otherwise  directs,  be 
cognizable by the Courts which for the time being have cognizance of suits for rent due on land. 

77. **Confirmation and recovery of existing rates.**—All rates for the maintenance of roads, schools 
or the district-post, for the payment of which provision has been made in any settlement-record previous 
to the passing of this Act, or which have been habitually levied by Government, shall be deemed to have 
been and to be legally imposed, and to have been and to be legally recoverable as if they were arrears of 
land-revenue payable directly to Government and due on the land in respect of which they are payable. 

*[CHAPTER  V  AMENDMENT  OF  THE  NORTHERN  INDIA  FERRIES  ACT,  1878.] Rep. by the Repealing Act*, 
1938 (1 of 1938), s. 2 *and the Schedule.*

78. *[Amendment of the Northern India Ferries Act.] Rep. by s. 2 and the Schedule, ibid.*

79. *[Further amendment.] Rep. by s. 2 and the Schedule, ibid.*